Conclusion

When conducting business in Mexico, it is essential to analyse the legal implications of the correct characterization of the relationship to be established with individuals who will provide or deliver services for the company.

As explained in this article, the laws make a clear distinction between a labour relationship and an independent service contract: labour relationships are regulated by the FLL which is very protective of workers and employees, and imposes unavoidable obligations on an employer, whereas independent service contracts are regulated under civil and commercial laws which allow a wider scope to negotiate the conditions under which the services will be rendered.

It is important to consider the risks involved in trying to disguise a labour relationship as an independent service contract, particularly taking into account the protective nature of the labour laws and the presumption that most of the personal services are labour in nature.

Seeking professional labour legal advice is always recommended in order to ensure that nature of the contract correctly corresponds with the personal services being provided.